Low PE stock under Rs 50: This power company receives order worth Rs 1,400 crore from Solar Energy Corporation of India!

The stock s up by 40 per cent in just 1 year and over 80 per cent in 3 years.

SJVN Ltd informed that SJVN Green Energy Limited, a wholly-owned subsidiary of the company, participated in the tariff-based competitive bidding process for the selection of wind power developers for setting up of 1,200 MW ISTS connected wind power projects in India (Phase-XIV) conducted by Solar Energy Corporation of India (“SECI”) and bagged the full quoted capacity of 200 MW Wind Power Project at Rs 3.24/Unit on Build Own and Operate (BOO) basis. The Power Sell Agreement (PSA) shall be executed after the issuance of LOI from SECI.

This Wind Power Project shall be developed by SJVN Green Energy Limited anywhere in India through an EPC contract. The tentative cost of construction/development of this project is Rs 1,400 crore. As per RfS, the project shall be commissioned in a period of 24 months from the date of signing of the PSA. The commissioning of this Project is expected to reduce 7,08,246 tonnes of carbon emission and would contribute to the GoI mission of reduction in carbon emission.

SJVN is engaged in the business of electricity generation. The company is also engaged in the business of providing consultancy for hydropower projects. The company has been maintaining a healthy dividend payout of 72 per cent with a dividend yield of Rs 4.38 per cent. This power company has a market cap of over 15,000 crore with a 1-year CAGR of 27 per cent.

Today, shares of SJVN Ltd climbed 0.95 per cent to Rs 38.44 with an intraday high of Rs 39.59 and an intraday low of Rs 38.26. The stock has a PE of 10.98x whereas the sectoral PE is 35.40x.

The stock s up by 40 per cent in just 1 year and over 80 per cent in 3 years. Investors should keep an eye on mid-cap power company under their watchlist.